House Bill 724

AN ACT TO AMEND SECTION 71-5-351, MISSISSIPPI CODE OF 1972,
TO REVISE THE PERIOD IN WHICH EMPLOYERS MAY REQUEST AN ADJUSTMENT TO WAGES OR
CONTRIBUTIONS REPORTED UNDER THE UNEMPLOYMENT COMPENSATION LAW; AND FOR RELATED
PURPOSES.

71-5-351. Contributions shall accrue and become
payable by each employer for each calendar year in which he is subject to this
chapter. Such contributions shall
become due and be paid by each employer to the commission for the fund each
calendar quarter on or before the last day of the month next succeeding each
calendar quarter in which the contributions accrue. The commission mayextend
the due date ofsuch contributions
if the due date falls on a Saturday, Sunday or state or federal holiday. Such contributions shall not be deducted, in
whole or in part, from the wages of individuals in such employer's employ.

For purposes of
payment of contributions on remuneration paid to individuals, if two (2) or
more related corporations concurrently employ the same individual and
compensate such individual through a common paymaster which is one of such
corporations, each such corporation shall be considered to have paid as
remuneration to such individual only the amounts actually disbursed by it to
such individual and shall not be considered to have paid as remuneration to
such individual such amounts actually disbursed to such individual by another
of such corporations.

In the payment of
any contributions, a fractional part of a cent shall be disregarded unless it
amounts to One-half Cent (1/2˘) or more, in which case it shall be increased to
One Cent (1˘).

For the purposes of
this section and Section 71-5-353, taxable wages shall not include that part of
remuneration which, after remuneration equal to Seven Thousand Dollars
($7,000.00) has been paid in a calendar year to an individual by an employer or
his predecessor with respect to employment during any calendar year, is paid to
such individual by such employer during such calendar year unless that part of
the remuneration is subject to a tax under a federal law imposing a tax against
which credit may be taken for contributions required to be paid into a state
employment fund. For the purposes of
this subsection, the term "employment" shall include service
constituting employment under any unemployment compensation law of another
state.

Any employer
requesting an adjustment to wages or contributions reported shall make such
request within three (3) completed calendar years from the period for which the
adjustment is requested. If changes are
the result of an audit by the commission or the Internal Revenue Service, the
employer may request changes for an additional two-year period. Under no circumstances shall an adjustment
to wages or contributions reported be made for any period exceeding five (5)
completed calendar years from the period for which the adjustment is requested.

Provided, however, that, absent evidence of
willful or fraudulent attempt to avoid taxation, the effective date of
liability of an employer or assessment of liability for covered employment
against an employer shall not occur for any period preceding the three (3) calendar
years before the date of registration or assessment, unless said three-year
limitations period is waived by the employer.

SECTION
2. This act shall take effect and
be in force from and after July 1, 2004.